DHFL slips 2% on bond repayment default

The default by DHFL is towards principal and interest on non-convertible debentures (NCDs) worth Rs 350 crore issued by it, DHFL said in a regulatory filing on Thursday.ETMarkets.com | September 13, 2019, 13:00 IST

NEW DELHI: Shares of Dewan Housing Finance Corporation (DHFL) declined over 2 per cent in Friday’s trade after the company reported a fresh case of default amounting to Rs 196.65 crore on bond repayment obligation.

The scrip was trading 2.70 per cent down at Rs 49.65 in the early trade.

The default by DHFL is towards principal and interest on non-convertible debentures (NCDs) worth Rs 350 crore issued by it, DHFL said in a regulatory filing on Thursday.

The company has been the most severely impacted large financiers in the NBFC crisis that has engulfed the world of finance since September 2018. DHFL has defaulted on multiple commitments and has also been forced to sell off non-core assets as the promoters seek to repay loans.

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DHFL owes around Rs 1 lakh crore to the system, including over Rs 50,000 crore to banks, while the rest are from entities like mutual funds. It is in talks with bankers for a restructuring and the lenders are mulling a lifeline of Rs 7,000 crore, according to PTI.

For the financial year ended March 2019, the company reported a loss of Rs 1,036 crore. However, it posted a profit of Rs 1,240 crore in FY 2017-18.